Why should a business seek to balance its economic legal and social obligations?

Answer 1

In every business, there will be influences from an economic, social and legal obligation. Here has to be a balance in these three sectors for effectiveness to be achieved. A business should be able to give customers a product or service and also provide jobs, it should also contribute to the progress of that particular community and the country as a whole and it should pay taxes from its revenues.

also the business has CSR without it; it won't survive for long run according to "Iron law of responsibility" which says that in the long run, those who do not use power in ways that society considers responsible will tend to lose it. And to do so there should be balance between this three aspects: economic, legal and social obligations

Where the business has an economic obligation through producing profit to survive and satisfy its shareholders and owners. It should also, obey laws and regulations so it has legal obligation but law often lag behind what is considered appropriate behavior that is why business has society obligations where the business should act in a way that enhances society and its inhabitants and be held accountable for any of its actions that affect people, their communities, and their environment.

Business has to manage these three elements and develop strategies that support it in meeting each of these critical responsibilities.